US Congress frustrates bridge the gap Iraqi budget plans
US Congress frustrates bridge the gap Iraqi budget plans
Saturday, October 1, 2016 18:38
Baghdad / follow Baghdadi Uz..ohabtt Iraq plans to raise two billion dollars from the global debt markets this week to fill the budget caused by lower oil prices gap after the US Congress refused to guarantee half the value of the bonds.
Iraq had said he was “seeking to issue bonds worth one billion US dollars guaranteed in full in order to reduce debt costs before other bonds issued one billion dollars as part of the 2017 budget, which enjoys the support of the International Monetary Fund.”
These funds will complement the agreement with the International Monetary Fund for a loan worth $ 5.34 billion over three years, which the fund it has agreed in July in exchange for economic reforms, and Baghdad hopes to open the agreement the door to get more than $ 12 billion in additional aid from other sources such as the World Bank and the Group of seven major industrialized nations.
He acknowledged the Western Allies of the importance of the need to protect the fragile economy of one of the most important Organization of Petroleum Exporting Countries members (OPEC) from collapse, which could threaten to undermine the military gains made by the Iraqi forces and the international coalition that the United States-led organization Daesh terrorist and seeking these forces to regain control of the city Mosul, a stronghold of the terrorists later this month.
US President Barack Obama’s administration requested that the guarantee granted under the “Extended Resolution” – a temporary legislation that would allow the US government to continue its work until the approval of the more permanent decisions regarding spending – but not yet to respond to this request in the final version passed by Congress.
An Iraqi government source said that “the Republicans in Congress caused the failure to grant security for the bonds.”
And have a Republican majority in both the House and Senate, but it was unclear if they have a specific objection to pump more money for Iraq, which has already received billions of dollars from Washington in the form of economic and humanitarian military aid since the invasion, the US-led invasion to topple Saddam Hussein in 2003.
And feel a lot of members of Congress, frustrated by the Iraqi government. They fear that the United States sent a lot of money to Baghdad without achieving sufficient results due to corruption and inefficiency.
Is still possible grant of security to the Iraqi debt securities in the spending bill must be passed to allow the government the freedom to work after the ninth of December, the day on which the application expires Almaguet.anthy spending bill 21 / d
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